Infrastructure Financing - MassDevelopment
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The Hub on Causeway, Boston Infrastructure Financing Programs MassDevelopment offers access to three unique infrastructure financing programs designed to support and accelerate economic development. The programs can be used independently, or in combination, and involve the establishment of an identified development district to finance infrastructure. Infrastructure Investment Incentive Program (I-Cubed) • Public-private partnership to support approved development projects with major infrastructure needs in the range of $5 to $50 million. • Debt service is paid by the Commonwealth from new state tax revenue generated from job creation and other economic activity from the project. • Bonds issued by MassDevelopment on behalf of Commonwealth and debt service supported by Commonwealth general obligation contract assistance. District Improvement Financing (DIF) • Known as Tax Increment Financing (TIF) in other states. • Using new property tax revenues collected from a predefined geographic area to pay infrastructure project costs through a bond or pay-as-you go. • Bonds issued by the municipality or MassDevelopment on behalf of the district. Local Infrastructure Development Program (23-L) • Special assessment financing for infrastructure improvements. • Landowners petition to create a district and agree to an additional assessment on their property. Assessment stays in place if property is sold. • Can be used with DIF - landowners only pay special assessment if incremental tax revenues are insufficient. • Bonds issued by MassDevelopment on behalf of the district.
Transcript of Infrastructure Financing - MassDevelopment
The Hub on Causeway, Boston
Infrastructure Financing
Programs
MassDevelopment offers access to three unique infrastructure financing programs designed to support and accelerate economic development. The programs can be used independently, or in combination, and involve the establishment of an identified development district to finance infrastructure.
Infrastructure Investment Incentive Program (I-Cubed)• Public-private partnership to support approved development projects with major infrastructure
needs in the range of $5 to $50 million.
• Debt service is paid by the Commonwealth from new state tax revenue generated from job creation and other economic activity from the project.
• Bonds issued by MassDevelopment on behalf of Commonwealth and debt service supported by Commonwealth general obligation contract assistance.
District Improvement Financing (DIF)• Known as Tax Increment Financing (TIF) in other states.
• Using new property tax revenues collected from a predefined geographic area to pay infrastructure project costs through a bond or pay-as-you go.
• Bonds issued by the municipality or MassDevelopment on behalf of the district.
Local Infrastructure Development Program (23-L)• Special assessment financing for infrastructure improvements.
• Landowners petition to create a district and agree to an additional assessment on their property. Assessment stays in place if property is sold.
• Can be used with DIF - landowners only pay special assessment if incremental tax revenues are insufficient.
• Bonds issued by MassDevelopment on behalf of the district.
Main office: Regional offices:99 High Street, Boston, MA 02110 Devens I Fall River I Quincy I Lawrence I Springfield I Worcester
@MassDev I massdevelopment.com I 800-445-8030 11/2019
Cambridge Crossing, Cambridge
Case Studies
• Roadways and intersections
• Water and waste water facilities and related lines
• Transportation facilities such as train stations, bus depots, etc.
• Seawalls, docks, wharves, bridges, culverts, tunnels
• Streetscape, sidewalks, electric lines, street lights
• Parks, playgrounds and recreational facilities
• Parking garages.
• Brownfields mitigation
• Site acquisition, demolition, and site pad development
• Soft and financing costs (engineering, architectural, etc.)
“Fan Pier” Boston$34.6 Million I-Cubed Bonds
“Assembly Row” Somerville$10 Million I-Cubed Bonds for Phase I$15.75 Million District Improvement Refunding Financing (issued by City)
For more information, contact Robert Dolan at 617-330-2074 or email [email protected].
Eligible Infrastructure (including but not limited to)
